2. pre-feasibility study for the development of …gwweb.jica.go.jp/km/fsubject1101.nsf... ·...

Part IPre-feasibility Study

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2. Pre-Feasibility Study for the Development of Passenger LandingFacility along the Nile/Nile River Environment

2.1 IntroductionThis section discusses the pre-feasibility study for tourism facilities improvement recommendedas one of the projects constituting Upper Nile Tourism development program. In addition, animplementation program for environmenta l management of Nile cruises is included in this studyconsidering their impact on the Nile environment.

2.1.1 Study Area

The study area focusing on cruise tourism in Upper Nile is the Nile River and Lake Nasserspanning the three governorates of Qena, Luxor, and Aswan, as shown in Figure 2.1.

2.1.2 Objectives of the Study

This pre-feasibility study is limited to investigating the possibility of berth facilitiesimprovement and new development for cruise tourism in the Upper Nile sub-region. This studyis also based on previous study results and some assumptions owing to limits of datainformation and time frame. It is understood that obviously it will be necessary to amend a partof this study in the further study with detailed engineering.

The objectives of the study are as follows:

• To define a long-term strategy for the cruise tourism in conjunction with the regionaltourism development plan;

• To review previous studies related to cruise tourism in the study area;• To analyze the possibility of improvement and development of berth facilities for cruise

ships in the study area;• To prepare a berth facilities improvement plan including implementation program and

institutional framework; and• To prepare an implementation program for the Nile cruise environmental management.

Projects & ProgramsThe Study on Tourism Development Projects in Egypt

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Figure 2.1 Location Map of the Study Area

Source: JICA Study Team

N

National HighwayLoca lRoad

Railway

Majo r CityLoca l Town

International Airport

Loca l Airport

L a k e N a s s e r

2

N i le R i v e r

7 7

8 8

99

4 4

Esna

Tem ple of Den dera

Qas r al -B anat

D air a l- Malak Mik hail

Te mples of Karnak / Lux sor

Val ley of the King s

Thebes (W est B ank)

T emple of Khnum

Py ram id of A l -K ula

Te mple of H orus

Gebel E l -S ilsi la

Ph ilae

M onastery of St .S imeo n,Mau soleum o f Ag ha Khan,T om bs of the Nobles

Te mple of Kom Om bo

Temp le K alabsha

T em ples of A s-Sabu a

Legend

T ouris m R esource

Historic al Resources

H istorical Cu l tu ral M useum

M ajo r Fac ili ti es o f N ile River Rela ted to Cru ise

Existing Bert hing Faci lities

Br idge

Br idge (U nder Const ruction )

Bar rage

Dam

Nationa l Highway

Loca l Road

Ra ilway

Majo r City

Loca l Tow n

Inte rnational A irpo rt

Loca l Ai rport

Qena

LuxorArmant

Eduf Ar Radisiya

Kom Ombo

Aswan

T am b a nd T mpl es of Am ada

Qa sr Ibr im

Ab u Sim bel

E l Laqeita

Unf inis hed Obelis k

El Ka b


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2.2 Background and Rationale of the Study

Egyptian tourism is one of the rapidly growing sectors of the Egyptian economy. One of themost attractive tourism products of Upper Nile is cruise tour on the Nile River and part of LakeNasser. But it has been indicated and discussed also that great numbers of cruising ships inUpper Nile have given rise to problems concerning convenience of tourist services,deterioration of environment and safety of cruise tours. Following is a general overview of theexisting conditions and issues based on previous studies and field surveys by the JICA StudyTeam, and the justification of the study.

2.2.1 Overview of Cruise Tourism in the Upper Nile Sub-region

The second largest number of tourists (0.7 million) enjoy classical tourism in the Nile Valleywith its famous world heritage sites and cruise tour at the heart of world civilization along theNile River, although recent government policy has been oriented towards diversifying Egyptiantourism products, such as marine resort product in the Red Sea, which topped the majority ofinternational tourists (0.9 million).

(1) Tourism trend of Upper Nile

The growth of tourists to Upper Nile has been unstable in the last 8 years owing largely topolitical reasons, such as the Luxor incident in 1997. After this incident, the number of touristarrivals dropped drastically in 1998, but was revived in 1999 and almost exceeded pre-Luxortourist numbers. Major trend of Upper Nile tourism is summarized as follows.

• The growth of hotel guests in Upper Nile has re-started at the latter part of 1994, and bigannual average growth rate of Aswan (75%) has contributed greatly to the revival ofclassical tourism in comparison with Luxor (35%);

• Average length of stay in the region is 5.0 days longer than the previous year’s 2.6 days;• Tourists to Upper Nile have not changed their travel pattern, visiting two major destinations

either in Luxor City or Aswan City to see temples or travel by air to Abu Simbel, or join theNile cruise and visit Esna, Eudf, Kom Ombo temples;

• Tourists mainly visit Upper Nile during summer and winter;• After the Luxor incident, the Nile cruise, which is a popular product of the Nile Valley, once

again have begun to draw international tourists, mostly from Europe; and• In spite of some new tourism investment on cruise ships and inland accommodation

development, the scale of new investments lags behind the large hotel investment in the RedSea.

Figure 2.2 Number of Tourist Arrivals in Upper Nile

Note: Length of stay in Upper Nile is the average number of hotel guests of Luxor and AswanSource: Tourism in Figures annual issues by MOT

(2) Nile Cruise tourism

Cruise tourism is not only a major product of the Nile Valley but also a dominant player ofregional accommodation capacity. In spite of this, the growth of rooms (cabins) has been quite

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

1992 1993 1994 1995 1996 1997

0.01.02.03.0

4.05.06.0

Luxor

Aswan

Average Length of Stay

Number of Hotel Guests


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slow as indicated by a mere 3.2% annual average growth rate in 8 years. Although basicstatistics on the number of Nile cruise tourists has not been established, existing conditions aresummarized as follows:

• Nile cruises between Luxor and Aswan is the dominant tour program being offered bymajor tour agents and operators worldwide. Another cruise tour, the Lake Nasser cruise,has been dealt as optional tour;

• 214 ships on the Nile River including Cairo, Luxor, Aswan, Lake Nasser (3 ships) and theRed Sea area were in operation in 1997, or a share of 60% of total accommodation capacityin the Upper Nile sub-region;

• Cruise ships are mostly classified as 4- to 5-star accommodation, but some internationaltravel agents have indicated several problems about their standard and maintenance, whichare below that of a high-rated hotel;

• Each ship has an average of 50 cabins (rooms), operates 3- to 4-day cruises (one-wayvoyage) or 6- to 7-day cruises (two-way voyage);

• 75% of international tourists staying in ships are Europeans (questionnaire survey in 1991),and are disposed to spending and enjoying the voyage itself most of the time with somevisits to antiquities along the Nile River; and

• The three major cruise ship operators are (a) International hotel chain groups (Hilton,Sheraton, Accor group, etc), (b) Tour operators or travel agents (Misr Travel Co, Travaco,etc), and (c) Other companies or individual owners (EGOTH Co., Presidential Co., etc).

Table 2.1 Number of Cruise ships and their Cabins by Year

1991 1992 1993 1994 1995 1996 1997 1998Cruise ship 169 181 188 205 206 215 214 216Cabins 8,584 9,297 9,763 10,339 10,532 11,184 11,322 11,075Cabins per ship 50.7 51.4 51.9 50.4 51.1 52.0 52.9 51.3Room share of total region (%) 59.4 59.7 60.3 60.8 60.3 60.9 60.4 61.8

Note: Total number includes areas of Cairo, Luxor, Aswan, Lake Nasser, and the Red SeaData in 1998 have not been published.

Source: Tourism in Figures annual issues by MOT

2.2.2 Significance and Justification of the Study

(1) Cruise tourism as an essential product of Upper Nile

Cruise tourism plays the most important role in Upper Nile tourism, from the viewpoint of notonly accommodation function (60% of the total capacity of Upper Nile in 1997), but also as themost popular tourism product being offered by a great number of travel agents worldwide. Thefollowing are identified as points of product character:

• A traditional tourism product on the Nile River famous for its nostalgic , cultural tourism;• One of the most attractive transportation modes for sightseeing of antiquities along the Nile

River and Lake Nasser and to enjoy the atmosphere of the Nile Valley; and• Advantageous accommodation facility development in terms of investment efficiency.

(2) Role and function for cruise tourism facilities improvement

In order to cope with the disadvantages of cruise tourism facilities including cruise ships asidentified in the preceding section, it shall be necessary that the government support and assumeresponsibility for the provision of public facilities and infrastructure, even major ones.

On the other hand, the endangered environment of the Nile River and Lake Nasser should beprotected by several measures. Urgent action needs to be taken for its physical protection andimprovement.

The roles of this project are identified in Table 2.2. In order to meet the requirements for cruisetourism improvement, the project should have the following functions:


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• To consolidate the Nile tourism development as a major product of Upper Nile in terms ofsecuring convenient and safe use of cruise accommodation and other water recreationalfacilities;

• To support adequate management development of water transportation in terms ofachieving efficient service and smooth operation of river tourism;

• To formulate attractive and comfortable environment of waterfront area as a base forhistorical tourism and recreational tourism of the Nile River; and

• To prevent cruise tourism development from deteriorating the environment of the NileRiver and Lake Nasser.

Table 2.2 Roles and Functions for Cruise Tourism Facilities Improvement

Function of Cruise Tourism ProductRole of improvement Accommodati

on facilitiesWatertransportation

Visitorfacilitation

Environmentawareness

Convenient and safe use of facilities ● ● ● -Efficient and well-organized service and operation ● ● ◎ ◎

Attractive and comfortable environment creation ◎ ◎ ● ●

Mitigation of natural environmental impacts ◎ ● ◎ ●

Note: ●= the most important factor, ◎= secondary factor, — = no relationSource: JICA Study Team

2.3 Existing Conditions and Issues on Cruise Tourism Facilities Improvement and itsEnvironmental Management in Upper Nile

2.3.1 Existing Conditions of Facilities for Cruise Tourism

(1) Berth facilities

Berth facilities along the Nile River and Lake Nasser can be classified in terms of their functionand role, as follows:

Major station berth (MSB)It is located in front of gateway cities and connected to the international airport, major hotels andcruise ships’ utility service systems, such as water and fuel supply, sewerage and solid wastecollection.

Landing berth (LB)It serves as landing place for sightseeing of antiquities or other attractions.

Other berths or piers (OB)It serves various boats and vessels, such as ferryboats, recreational boats “Felucca” and taxiboats.


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Table 2.3 Classification of Existing Berth facilities

FunctionCruise destinationMSB LB OB

Dendera - ○* -Qena - ○** -Luxor ○ - ○

Esna - ○ -Eduf - ○ -Kom Ombo - ○ -Aswan ○ - ○

Aswan High Dam ○*** - -Abu Simbel - ○ -Note: *Dendera berth facilities have been limited to utility service

(water and fuel supply).**Utilities are under construction in Qena new berth facilities.*** These berth facilities are not identified in detail.


According to a recent study by TDA (University of Cairo), berth facilities have been managedand operated by public and private organizations. Public berth facilities are disposed to locateon rural area with historical destinations in front of antiquities, while private facilitiesconcentrate on the major gateway cities of Luxor and Aswan. As it is obvious that the totalnumber of berthing lots, as shown in the following table , indicates a lack of capacity incomparison with the number of ships, it has been observed in the field survey that there aremulti-parallel berthing (2-5 lines parallel to the first ship) in many berthing lots.

Table 2.4 Berth facilities in Operation, 1999

Number of Existing BerthsDestinationPublic Private Total

Ferry berth Underconstruction

Qena 2 0 2 0 1Luxor 37 17 54 3 4Esna 13 1 14 0 0Eduf 3 1 4 0 0Kom Ombo 6 0 6 0 0Aswan 38(4)* 4(38)* 42 2 0Aswan High Dam ○** - ○** -Abu Simbel ○** - - -Total 65 57 122 5 5

Note: * This figure indicates a big gap between the study above and a previous study in 1991 and field survey in August, 1999by JICA Study Team.** These berth facilities are not identified in detail.

Source: Indicative Plan for the Nile Cruise Berth between Aswan and Cairo by TDA-Cairo University


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Table 2.5 Berth facilities Conditions between Qena and Aswan, 1999Qena Luxor Qena AswanCategory Facilities

Dendera Quena Luxor Esna Eduf Kom Ombo AswanEmbankment (km) 0.1 1.2 3.5 1.3 0.8 0.5 3.0Lighting ○ ○ ○ ○ ○ ○ ○Steps 1 - 4 4 4 3 ○Ferry for local communities - - 1 - - - 1

Basic facilities

Pier for local ship - - 5 - - - -Water Intake 1 - 4 - 2 - ○Sewerage Intake - - ○ - - - -Waste Disposal System - - ○ - - - ○

Utility services

Fuel Supply 1 - ○ - - - ○Police Station - - 1 - 1 - -Police Allocation(person) - 14 13 8 8 6 ○Security

servicesFire Hydrant - - 6 - 2 - ○International Telephone - - 2 - - 2 ○Park or Rest Place - ○ ○ - - - -Public Toilet - - 4 - - - -Information Center - - - - - - -Souvenir Shops/Kiosk - - 9(68)* - - 5-6** ○

Tourist servicesfacilities

Coffee Shops/Restaurant - - - - - - ○Transportation (Coach) - - ○ ○ - - -Bus/Taxi Parking site - - ○ - - - -TransportationTransport Terminal - - - - - - -Berthing Expansion (km) - 0.5 5.0 ○ ○ - ○

Plan & project Utility Provision - ○ ○ ○ ○ - ○

Development Status Closed/private Public Public/

privatePublic/private

Public/private Public Public/

privateNote: * indicates vacant rooms for rent based on the field survey in August, 1999 by JICA Study Team.

** indicates temporary shops based on field survey in August, 1999 by JICA Study Team.Source: JICA Study Team

(2) Other facilities related to cruise ships

Other facilities along the Nile River and Lake Nasser can be identified in terms of theirnavigational conditions, as follows:

Table 2.6 Other Facilities related to Cruise Ships

Surrounding facilities near destinationDestinationBarrage Bridge Dam Ferry

Dendera - ○ - -Qena - ○ - -Luxor - - - ○

Esna ○(2) ○ - -Eduf - ○ - -Kom Ombo - - - -Aswan - ○* ○** ○

Aswan High Dam - - ○** ○(port)Abu Simbel - - - -Note: *A new bridge is under construction.

**This dam functions as bridge for vehicles.Source: JICA Study Team


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2.3.2 Existing Plans and Projects for Upper Nile and Cruise Tourism

(1) Existing plans and programs

Several plans and programs have been prepared for Upper Nile in relation with tourism sectordevelopment from a region-wide to a town-wide level of development. The following tableshows major plans and programs for this region, including those that lack detailed informationor have insufficient data.

Table 2.7 Existing Development Plans and Programs in Upper Nile

Governorate Location Development related toCruise Tourism

Reference, data source

Qena City - Development Scheme of South Egypt Plan

Armant/Esna - Development Scheme of South Egypt PlanQena

Armant New Dockyard development Qena Governorate Plan (Private sector investment)

Luxor City New Berth Development Luxor City Development Plan by MHUUC-UNDPLuxor

El Toad - El Zoraykat Island project

Aswan City - Under study by MHUCC-UNDP

Eduf City New Berth Development Aswan Governorate has a plan to develop tourist area.

New Bridge Construction Under construction connecting to New Aswan CityAswan(Nile River)

New Aswan CityNew Berth Development Aswan New City Development Plan by MHUUC

Toshka Toshka Tourism Development Plan by TDAAswan(Lake Nasser) Cruise Ship Target number(5,000 ships) Development Scheme of South Egypt Plan

Cruise ship Cairo/Luxor/Aswan Current investment plan Under construction, Hotel Capacity in the Republic of Egypt1999by TDA


(2) Review of previous studies for Nile cruise development

There are three studies for Nile cruise development in past years including a brand new studyin1999. Major topics in the studies can be summarized as follows:

A Priority Action Plan for Infrastructure and Tourism Development in Egypt Phase III 1991:Cruise Ship Tourism by Arthur D. Little and Ministry of Tourism

This feasibility study aims to formulate development plans for berth facilities with terms ofreference in order to solve existing problems of Nile cruise tourism (it is not clear whetherthis plan has been implemented or not). Highlights of the study are as follows:

• Demand analysis projected the number of ships in the range of 506-831 ships and theadditional number of berths required in the range of 4-26 berths in 2000;

• Proposed the improvement of visitor capacities of antiquities sites; and• Proposed the formulation of institutional frameworks for river management programs

such as river traffic, cruise ship operation and broad coordination among severalagencies; and

• Exclusion of Lake Nasser cruise in the plan.

Private Sector Tourism Infrastructure and Environmental Management Projects: Staff AppraisalReport by World Bank in 1992

This report is for appraisal of the Bank’s project loan by the private sector consisting of theRed Sea coastal zone management projects and Nile cruise improvement projects. Theseprojects consist of the following components, but some of them, especially the Nile cruisenavigational improvement seems not to have been implemented all:

• Infrastructure development of two integrated development sites (Abu Soma, Sahl


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Hasheesh);• Provision of utility services by the private sector in the Red Sea coast;• Construction of additional berth facilities for the Nile cruise by the private sector;• Improvement of traffic and navigational facilities and access to tourist sites; and• Development of coastal management plan under the auspices of GEF.

Indicative Plan for the Nile Cruise Berth between Aswan and Cairo by TDA in 1999

This report aims at formulating a master plan for the Nile cruise improvement projectsfrom Cairo to Aswan. The project components presented below are similar to the twodevelopment projects mentioned above, and proposed to improve facilities andinstitutional system for traffic management and others:

• Analysis of berth facilities demand projected the number of possible berths in therange of 230-384 berths;

• Proposed the improvement of visitor capacities of antiquities sites;• Proposed the formulation of institutional frameworks same as that proposed in the

1991 report; and• Exclusion of Lake Nasser cruises in the plan.


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Figure 2.3 Plans and Projects in Upper Nile


N

National Highway

Loca lRoad

Railway

Majo r City

Loca l Town


Loca l Airport

L a k e N a s s e r

2

N i le R i v e r

7 7

8 8

99

4 4

Esna

Legend

Tr ans portation D ev elopment

Bridge dev elopm ent

Ro ad D evelopm ent

N ile R iv er C ru is ing D evelop ment

Berthi ng fac ilit ies dev el opm ent

Dr y-dock ya rd dev elopm ent

H ist rical and Cul tural Env ir onment E nhanc em ent

S ite m useum dev elopment

To uri st B as e De velopm ent

Ho tel dev elopm ent

N e cr o p o li c e

H a tos h e psK a r n ak T e m p leL u x o r T e m p le

U n fin is h e d O b e li s k

K a la bs h aBe it el W a d i

D a k kaWa d i e l S e b u a

Qena

LuxorArmant

Eduf Ar Radisiya

Kom Ombo

Aswan

D e n d er a

E l K a b

Ge b el E l S il s il a

Qa s i Ib rim

A m a d aE l B er r

A b u S im b e l

N o r t h A b u S m b e l,

e tc ( 4 5 9 0 r o o m s )

N o r t h K h o r T o u s h k a( 6 1 5 0 ro o m s )

A s w a n N e w C i ty

D e v e lo p m e n t

N e w T o u r is t A re a A r ia

in E d u f

N e w T o u r is m A r i a i nL u x o r (4 5 0 0 ro o m s )

Q a s r- a l -B a n a t

El L a q e i ta

P h i la e

M o n a s te r y of S t. Sim e o n ,M a u s o leu m of A g h a K h a n ,To mb s o f th e N o b le s

National Highway

Local Road

Rai lway

Major CityLocal Town

Internationa l Airport

Local AirportHistorical Si te and Monuments


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2.3.3 Assessment of Berth facilities in Upper Nile

This section describes the constraints and opportunities of the existing berth facilities and thepotential sites for future development. A general assessment was conducted based on thefollowing criteria in order to improve and enforce the function and attractiveness of the Nilecruise tourism. Information of existing conditions of berth facilities is based on-site surveys andthe report of Indicative Plan for the Nile Cruise Berth between Aswan and Cairo by TDA.

(1) Existing berth facilities

The criteria for assessment of each berth facilities area are itemized below, and the result ofassessment by site is shown in Table 2.8.

Potentials

• Magnitude of importance in terms of number of visitors and attraction value added to berthfacilities

• Existing and future function of hinterland in conjunction with berth facilities• Desirable character and role to play in berth facilities (amenity creation, etc)

Berth facilities capacity

• Capacity of berth facilities to meet demand• Existing facilities conditions and standard• Facilities and other structures needed (embankment, utilities, visitor facilities)• Navigational circumstance

Backyard capability

• Existing condition of visitor facilities (parking and traffic conditions)• Facilities and other structures needed (embankment, utilities, visitor facilities)• Adequate atmosphere (landscaping, walkway, etc)

Environmental consideration

• Scarcity or importance of natural environment (natural protectorate)• Possible occurrence of natural hazard (erosion, flash flood, etc)• Possibility of environmental pollution (inadequate industrial facilities, treatment facilities,

etc)• Landscape condition in terms of harmonization with surrounding environment

(2) Potential site for berth facilities development

On the other hand, several historic sites interspersed along the Nile River have the potential asnew historic destinations to become part of the Nile cruise tour. The introduction of newdestinations could give the following benefits:

• Contribute to the diversification of historical tourism products;• Contribute to the extension of length of stay;• Mitigate problems of concentration at limited historical sites; and• Increase berthing lots at various places in order to manage the operation of the Nile cruises.


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Table 2.8 Assessment of Existing Berth facilities and their Surroundings

Potential Berth Capacity Backyard EnvironmentalConsideration

Remarks

DenderaAs temporary stopoverfor Dendera site

Difficult to expandBad physical conditionfor berth

Conflict with localcommunity

Sedimentationproblem

Not permitted to use due tosecurity problem

QenaAs main access areafor Dendera with futuretourist resort

Possible to expandNecessary to add utilityservices

Affordable spacefor visitor services


Qena Governorate plans toprovide utility service andtourist facilities and hotels

LuxorAs major berthingterminal with majorgateway city of Luxor

Beyond capacityWith full utility facilities

Good conditionwith attractivepromenade

Floating solidwaste problem

Municipality plans todevelop new berth facilitiesin El Toad area

Qena/Luxor

Esna

As sub berthingterminal with touristtown of Esna

Beyond capacityin conflict with twobarrages in operationNo utility service

Congested urbanareaInsufficient touristfacilities

Not suitable urbanlandscape forhistorical site

Necessary to coordinateurban function and historicalenvironment

Eduf

As sub berthingterminal with touristtown of Eduf

Beyond capacityUnsuitable physicalcondition of river due tosmall islandsNo utility service

Tourist trafficcongestionInsufficient touristfacilities

Not suitable urbanlandscape forhistorical site

Necessary to coordinateurban function and historicalenvironmentSCA plans to develop Esnasite museum

Kom Ombo

As sub berthingterminal with futuretourist resort of KomOmbo

Beyond capacityUnsuitable physicalcondition of river due tosmall islandsNo utility service

Conflict with themonument siteNot enough areafor service

SedimentationproblemProblem ofembankmenterosion

Necessary to expand bertharea and to improve existingberth facilities

Aswan(NileRiver)

AswanAs major berthingterminal with majorgateway city of Aswan

Beyond capacityInsufficient utilityfacilities

Problem ofmonopoly byprivate sector


Necessary to open privateuse of the Nile to public use

Aswan HighDam port

As terminal only Congestion with otherships

Unsuitableconditions fortourists

No information Necessary to coordinatebetween cruise ships andcommercial ships

Kalabsha/Beitel Wadi

As stopover (theIsland)As embarkation point(inland site)

No suitable landingfacilities to the island ofKalabsha

Conflict with localfishing boats

Malodor problemfrom fisheryfactory

Necessary to develop newembarkation facilities apartfrom existing one

Dakkah As stopover No suitable landingfacilities

No information Consideration ofhistorical site

Necessary to develop safeberth facilities

Amada As stopover No suitable landingfacilities



Qasr Ibrim As stopover No suitable landingfacilities



Aswan(LakeNasser)

Abu Simbel As stopover Sedimentationproblem


Necessary to improveexisting berth facilities

Source: Indicative Plan for the Nile Cruise Berth between Aswan and Cairo by TDA and the field survey by JICA Study Team

The criteria for selection of potential site for new berth facilities can be itemized as follows(except engineering and environmental criteria to develop the facilities):

• Magnitude of attractiveness of historical sites for tourists;• Appropriate distance of location from antiquity sites along the Nile River;• Accessibility to monument sites in terms of adequate distance from the river bank; and,• Suitability of environment of historical sites without any artificial obstacles.


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Table 2.9 Evaluation of Potential Sites for Berth facilities Development

Potential of site and its conditionsCandidate of new

destination Attractiveness AppropriateInterval Accessibility Suitable

surroundingsTotal evaluation

Naqada ruin - △ - ◎ -Dier el Marek-Tukh △ ◎ - △ △

El Kab (tomb, ruins) ● ◎ ● ● ●

Gebel el Silsila ◎ ● ● ● ●

Note: ●= highest, ◎= secondary, △= not good or competitive, - = worstSource: JICA Study Team

Based on the result of above evaluation, El Kab and Gebel el Silsila are proposed as newdestinations and berth facilities can be developed in front of the sites.

2.3.4 Issues for the Cruise Tourism Improvement

The constraints and problems of cruise tourism on the Nile River and Lake Nasser presented inthe aforementioned section should be tackled from the broad point of view with multi-sectoralcooperation. The issues are identified as follows:

(1) Issues for facilities improvement

Taking account of compatibility between future demand of cruise tourism and capacity oftourism development, berth facilities should be improved and developed in order to secure safeand comfortable environment for visitors. Major issues are shown below.

Berth facilities for cruise ships and other boats

• Expansion of capacity of berth facilities to normalize its use and meet demand;• Upgrading of existing facilities standard in conjunction with backyard function, considering

that land transportation is expected to grow as substitute measure absorbing future accessdemand to destinations;

• Introduction of construction measures to mitigate environmental impact;• Development of new destinations with new berth facilities;• Creation of attractive atmosphere of water-front area for visitors;• Necessity of elaborate engineering study for a suitable berth facilities; and• Adequate system for development and management of facilities among public and private

sector taking account of both advantages to serve tourists and ship operation

Environmental impact of cruise ships and other boats

• Minimization of emission of environmental pollutants from ships;• Installation of necessary system in order to process pollutants from ships; and• Coordination with stakeholders, such as agricultural or existing communal areas, who are

required to utilize berth facilities, and preparation of substitute measures or necessarycompensation.

(2) Issues for cruise tourism management

To secure safe and comfortable cruises and other boats, operational management of rivertransportation is another important pillar that can be added to facilities improvement. Thefollowing are other issues in terms of management and operation of the Nile River tourism:

Consolidation of the Nile cruise environmental management• Cooperation with public services according to their capability;• Necessity of continuous monitoring and assessment for environmental improvement;• Consolidation of institutional framework such as regulations and guidelines with necessary

expert allocation;


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• Promotion of environmental awareness for crews and tourists of water transportation; and• Necessity of broad cooperation with other sectors, such as urban, agriculture, and industry,

to prevent pollution of the Nile River’s natural environment, as these sectors could besources of a far greater magnitude of pollution than those by cruise ships.

The following are not direct issues to be covered by this study; however, they are very importantand inevitable for the cruise tourism to tackle constraints in order to achieve a safe andcomfortable cruise tour. Major issues including subjects that have already been pointed out inthe past, are also indicated below in terms of cruise tourism development in a broad sense.

Improvement of river transportation control managementTo improve navigational control and management, the following actions are needed.

• Necessity of proper traffic regulations and traffic control system at berth areas and barrages;• Necessity of navigational support systems for cruise ship operation, especially counter

measures to solve low level water of the Nile River in winter and appropriatecommunication measures such as voice telecommunication, data transmission andmeteorological information;

• Consolidation of sufficient fire safety system and safety regulations in berthing areas;• Necessity of introducing a zone management system among all water transportation modes,

such as cruise ships, ferry boats, river taxis, and recreational boats like Felucca, in the NileRiver; and

• Installation of channel navigational aid system, such as lighting beacons and buoys.

And to improve security control and management, the following actions are needed.

• Formulation of security system for passengers to guard against crimes, and emergencysystem (fire, accidents, etc.) and

• Consolidation of regulatory measures to prohibit inappropriate berthing, such as multi-parallel berthing.

Formulation of Nile Cruise related industry

• Diversification of Nile Cruise Tourism such as introduction of day-cruise, special themecruise (ecotourism-cruise, casino-cruise, convention cruise, etc),

• Cruise ship service industry such as laundry service and commodity supply,• Land transportation connecting to destinations or other areas and• Information and organization for Nile cruise tourism.

Formulation of the Nile River environmental information system

• Provision of inventory for basic information on the natural environment of the Nile River,such as bio-diversity, endemic flora and fauna, etc ., through several scientific researchbetween Qena and Luxor and Aswan of the Nile ,

• Contribution to nature tourism, such as eco-tourism on the Nile providing information onnatural tourism resources and

• Contribution to establishment of environmenta l management zoning to protect naturalresources in terms of utilization of the Nile River tourism.

Institutional arrangement for cruise tourism with integration and coordination

• Formulation of inter-governmental coordination among all related agencies, and• Specification of responsibilities and authority over river management.


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2.4 Outline of the Project

2.4.1 Development Framework for Cruise Tourism Facilities Improvement

(1) Cruise ship development target

This section aims at setting the number of cabins (rooms) of cruise ships required in 2012 basedon the regional development framework.

Conditions for target settingThe target number of cabins has been estimated by reviewing current studies (1990 and 1999)and related information on future target numbers of cruise ships mentioned in the previoussection. Although major consideration for the target setting is shown below, detailed studies areneeded for decision-making of optimum target.

• Necessity of setting the number of ships in relation to development capacity considering (a)gradual and possible improvement or development to solve the problems of existingberthing capacity and its safety and operational efficiency, (b) formulation of environmentfor cruise ship navigation and operation; and (c) consideration of increase in other rivertransportation facilities such as day-cruise ships,

• Necessity of strict environmental protection, especially in Lake Nasser, and• Necessity of substitute development of accommodation facilities requirement in total.

Target number of hotel guests, guest-nights and shipsBased on above conditions and several assumptions, the target number of guest nights iscalculated, as shown in Table 2.10.

Table 2.10 Target Numbers of Cruise ship Accommodation in Upper Nile

2002 2007 2012 2017Hotel Guest (million) 0.76 0.85 0.94 1.04Hotel Guest Nights (million) 3.8 4.2 4.7 5.2Share of Total Guest Nights (%) 46% 36% 28% 24%

Luxor- Aswan 225 250 275 300Lake Nasser 5 7 10 15

Number of ship

Total 230 257 285 315Note: refer to Table 2.10 (a).

Table 2.10 (a) Correlation coefficientOccupancy Rate 0.6Guests per cabin 1.5Length of stay in all phases 5.0Cabins per ship in Nile River 50Cabins per ship in Lake Nasser 60


(2) Berth facilities development target volume

Target numbers of berthing slotsAccording to the estimations described above, the target numbers of berthing slots arecalculated as shown in Table 2.11. When the target numbers are estimated, the followingconditions are considered:

• To develop and improve single parallel berth facilities with adequate buffer, consideringsafe navigation and berthing;

• To fill the gap between existing demand and adequate berthing by a temporary measure ofparallel berthing in the early phase; and

• To consider the function of berthing as serving not only cruise ships but also other river


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transportation modes, such as day cruise ships, in terms of future needs.

Table 2.11 Target Numbers of Berthing Slots

2002 2007 2012Cruise ship 230 257 285Day cruise ship 3 8 15Number of

berthing slotstotal 233 265 300

Note: Refer to Table 2.11 (a).

Table 2.11 (a) Day-cruise ships per cruising ship2002 2007 2012

Day-cruise ships per cruising ship 0.1% 0.3% 0.5%Source: JICA Study Team

Distribution of target numbers of berthing slots in Upper NileAccording to the estimations described above, the distribution of target numbers of berthingslots is shown in Table 2.12. During estimation, the following conditions are considered.

• To include the numbers or related targets proposed by other development plans inconjunction with berth facilities;

• To disperse berth facilities development pressure to other potential areas thereby preventingconcentration on major destinations (Luxor and Aswan), so as to secure safe andcomfortable embarkation;

• To secure major suitable berthing slots for night-stay with limited night navigation*;• To ensure adequate places to berth and visit tourist sites;• To introduce the temporary measure of parallel way of berthing in the early stage in order to

fill the gap between demand and capacity; and• To provide adequate development type for berth facilities taking account of environmental

conditions and scale of development.

* It is considered that ships on the waterway at night time, in transit to their final destinations because of tour itinerary or other reasons are excluded from the estimation of

required facilities, and those ships are equipped with safe navigation system at night.


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Table 2.12 Required Numbers of Berthing Slots

Location of Berthing Slots 2002 2007 2012Qena-Dendera (30) (30) 20Luxor City (62) (63) 39El Toad/Luxor (10) (10) 25Esna City (20) (20) 20El Kab – – 5Edufu City (20) (22) 37Gebel el Silsila – – 5Kom Ombo (14) (14) 21Aswan New City – 20 32Aswan City (51) (52) 54

Nile River

sub-total 207 231 258High Dam Port (2) 1 1Pier to Kalabsha 1* – –Dakkha/Wadi – 1 1Amada – 1 1Qasir Ibrim – 1 1North Kohr Toushka – – 1North Abu Simbel – 1 3Abu Simbel (2) 1 1

Lake Nasser

Sub-total 4 6 9Total 211 237 267

Note: Figures in parentheses indicates estimation by multiple parallel berthing* means small boats pier development inland of Kalabsha Island.Refer to Table 2.12 (a).

Table 2.12 (a) Total numbers exclude ships in-transit on the river and lake2002 2007 2012

Q/Luxor-Aswan 21 26 30Lake Nasser 1 2 3

Ship in-transit to eachdestination on the Nile Riverand Lake Nasser Total 22 28 33(Share to total ships) 9% 10% 10%Ships needing berth facilities 211 237 267Grand total 233 265 300Source: JICA Study Team

2.4.2 Project Components

(1) Development of berth facilities

Hierarchical development role and functionIn order to enhance the function and role of berth facilities, three types of facilities developmentare introduced according by level of tourist activities in the destinations of cruise tours asfollows:

Type A: Major station (in gateway city, urban amenity and cruise services are necessary)Type B: Sub-station (in tourist towns and other accommodation bases with limited service)Type C: One-stop station (in tourist spots with historical resources without cruise services)


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Table 2.13 Development Type and Berth facilities Required by Level

Type Role & Function Berth facilities Type Utilities Visitor Facilities

Type A

Major station for cruise ships- To be a riverfront-base to dock at a

tourists can stay at a tourist town withattractions

- To supply basic commodities for cruiseships

- To function as traffic terminal betweencruise ship and land transportation

- To function as a water-orientedrecreational activity base

- To provide visitors with amenity

Concrete structure &rock-fill embankment

- To prepare open spacefor visitors

- To equip with utilityservice

- Electricity/telecommunication

- Water supply- Fuel supply- Sewerage collection- Solid waste collection- Fire hydrant

- Street furniture(Lighting, bench,etc.)

- Telephone booth- Toilet- Kiosk/Information

booth- Souvenir shop- Coffee shop- Security station- Parking

Type B

Sub station for cruise ships- To be a temporary base to stay and

access historical attractions and otherfacilities

- To function as traffic node between shipand land transportation

- To provide visitors with basic servicefacilities

- To function as water-oriented recreationalactivity base

Iron structure pier- To prepare the ship for

visitors- To equip with limited

utility service- To take account of

construction method tomitigate environmentalimpact

-Electricity/telecommunication

- Water supply

- Street furniture(lighting, bench,etc.)

- Telephone booth- Toilet- Security station- Parking

Type C

One-stop pier for cruise ships- To be an access point for tourist

attractions behind river-front- To prepare a port for one-stop place for

cruise ships

Iron structure pier- To prepare the ship for

visitors

- Electricity/telecommunication

- Street furniture(lighting, bench,etc.)

- Telephone- Security station


Development structure typeOn the other hand, conforming to the cruise ship’s dimensions, a typical berth facility slot is tobe designed in scale and structure alongside the manner of berthing, with the followingconsiderations:

• To secure a suitable buffer for the embankment of the Nile River considering the directionof river current and the speed and direction to navigate boats safely and with ease(requirement of length per berthing slot = 1.5 x length of ship);

• To consider physical limits (width and depth of the Nile River) to be able to navigate shipsand boats safely;

• To consider mitigation of environmental impact by facilities development;• To develop the facilities taking account of environmental design and economic measures;

and• To provide various types of facilities depending on the site condition and service function

for tourists.

Three structural types of development are as follows:

• Structure 1: Wharf embankment type of berth facilities by concrete structure• Structure 2: Landing pier type of berth facilities by iron structure• Structure 3: Floating bridge type of berth facilities by mixed-material structure


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Figure 2.4 Wharf Embankment Type of Development / Improvement (Type A)

Figure 2.5 Landing Pier Type of Development (Type B)

Source: Study team

Utility Services- Water supply/Hydrant- Electricity/ Telecom.- Fuel supply- Sewerage treatment- Waste disposal

Visitor Services- Street furniture- Shops/ toilet- Kiosk/ Information

Access Services- Parking for bus es and

tourist coaches- Parking- Promenade/garden- Landscaping (trees, etc .)

Access Services- Parking for bus es and

tourist coaches- Toilet / Security Station- Information- Landscaping (trees,

etc.)

Utility Services- Water supply/Hydrant- Electricity/Telecom.

Visitor Services- Landing pier- Security

Rock-fill embankmentwith stairs

Concrete structureembankment

Cruise Ship

Cruise Ship

Dredging of river to secureadequate draft at low tide

Natural embankmentwith adjustment stairs

Iron beam structureDredging of river tosecure adequate draft at

low tide


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Figure 2.6 Floating Bridge Type of Development (Type C)


Development degree typeAccording to the existing conditions and development framework previously mentioned, thedevelopment degree of berth facilities can be classified into the following three types:

• Improvement of existing berth facilities to upgrade them;• Expansion of existing berth facilities to meet demand and improve navigational

environment; and• New development to meet demand taking account of product diversification and prevention

of concentration on major destination places.

Development componentAccording to type of berth facilities, the development components are classified as follows,which are applicable to site conditions at the Nile River and Lake Nasser:

Table 2.14 Development Components for Berth facilities

Type Major development components Improvement of berth facilities Expansion &New Development

Wharf embankment --- --- ---Utility services for cruise ships A1 ---TYPE AVisitor service facilities --- A2

A3 A4

Landing pier facilities --- --- ---Limited utility service B1 ---TYPE BVisitor service facilities --- B2

B3B4

Floating bridge C1 ---TYPE CVisitor service facilities --- C2

C3 C4


Access Services- Parking for bus es and Tourist coaches- Toilet / Security Station- Information- Landscaping (trees,

etc.)

Utility Services- Electricity/Telecom.

Visitor Services- Floating pier- Security

Cruise Ship

Natural embankmentwith adjustment stairs

River dredging tosecure adequate draftat low tide


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(2) Improvement plan for each site

The improvement plan for each site is proposed by type and degree of development applied toeach site, including those with and without berth facilities, taking account of existing conditionsand desirable future function. For Nile River and Lake Nasser, 17 and 8 projects are proposedrespectively, as shown in Table 2.15.

Table 2.15 Proposed Berth facilities Improvement Plan in the Upper Nile Area

Improvement Plan by TypeArea Projectcode Location Existing facility

status A B CReference

BFR-01 Qena City Newly developed ○ - -QenaGovernorate BFR-02 Beside of above area No facilities - ◎ -

BFR-03 Luxor west bank/El Toad No facilities - ● -BFR-04 Luxor east bank/El Toad Planned ● - -Luxor City

- Luxor east bank Existing Berth - - -BFR-05 Esna City Existing Berth ○ - -Qena

Governorate BFR-06 Beside of above area No facilities - ◎ -BFR-07 El-Kab area No facilities - - ●

BFR-08 Eduf City west bank Existing Berth ○ - -BFR-09 Beside of above area No facilities - ◎ -BFR-10 Eduf City east bank No facilities - ● -BFR-11 Gebel el Silsila No facilities - - ●

BFR-12 Kom Ombo east bank Existing Berth ○ - -BFR-13 Beside of above area No facilities - ◎ -BFR-14 Kom Ombo east bank No facilities - ● -BFR-15 Aswan New City Resort city planned ● - -BFR-16 Aswan east bank Existing Berth ○ - -

AswanGovernorate(Nile River)

BFR-17 Aswan new east bank No facilities - ● -BFL-01 Aswan High Dam Port Existing Berth ○ - -BFL-02 Landing pier* to the island** No facilities - - ●

BFL-03 Dakka/El Sebua No facilities - - ●

BFL-04 Amada/El Derr Penut No facilities - - ●

BFL-05 Qasr Ibrim No facilities - - ●

BFL-06 North Kohr Toushka No facilities ● - -BFL-07 North Abu Simbel No facilities ● - -

AswanGovernorate(LakeNasser)

BFL-08 Abu Simbel Existing Berth - ○ -

Type A:Berth facilities with utilityservices and amenitiesfor visitors by wharfembankment type

Type B:Berth facilities withlimited utilities andlimited visitor facilities bylanding pier type

Type C:Floating bridge typelimited utilities

* Inland pier beside lake**Kalabsha/Beit el Wadi

Note: ●= New development, ◎= Additional expansion, ○= facilities improvement, - = not necessary, not existingSource: JICA Study Team

Table 2.16 shows the required length of berth facilities for each of the 25 projects.


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Figure 2.7 Proposed Berth Facilities Improvement Plan in Upper Nile


N

National Highway

Loca lRoad

Railway

Majo r City

Loca l Town


Loca l Airport

L a k e N a s s e r

2

N i le R i v e r

7 7

8 8

99

4 4

Esna

Landing Facilities Development

Improvement

Expansion

New Development

Type A Type B Type C

B FR - 0 7BF R -0 6

B FR -0 5

B FR -0 4

B F R -0 3

BF R -1 6

BF L- 0 1

B FR - 17

B F R -1 5

B FR -1 4

B FR -1 3B FR -1 2

B FR - 1 1

BF R -1 0

B FR -0 9

B FR - 0 8

B FL - 0 8

B F L -0 7

B FL - 0 6

B FL - 0 5

B FL -0 4

B F L -0 3

B FL -0 2

B F R - 01

B FR - 0 2

Qena

LuxorArmant

El K ab

D en dera

EdufAr Radisiya

Kom Ombo

Aswan

New Aswan City

Pier to Kalab sha Islan d

El D akka

/ W ad i el Seb ua

Am ada

Qasr Ib r im

No rth K o hr T o ush ka A rea

N o rth A bu Sim be l A rea

Ab u Sim b el

A swan Po rt

Geb el el Si lsi la

Road Development


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Table 2.16 Length of Berth facilities Required

Developmentzone Area Project code Location Classification Total length

(km)BFR-01 Qena City A1 1.7

Qena GovernorateBFR-02 Beside of above area B4 0.7BFR-03 Luxor west bank/El Toad B4 1.2BFR-04 Luxor east bank/El Toad A4 3.0Luxor City

- Luxor east bank - (3.5)*BFR-05 Esna City A3 1.3

Qena GovernorateBFR-06 Beside of above area B4 1.1BFR-07 El-Kab area C3 0.6BFR-08 Eduf City west bank A3 0.8BFR-09 Beside of above area B4 1.2BFR-10 Eduf City east bank B4 1.7BFR-11 Gebel el Silsila C4 0.6BFR-12 Kom Ombo east bank A3 0.5BFR-13 beside of above area B4 0.6BFR-14 Kom Ombo east bank B4 1.0BFR-15 Aswan New City A4 3.9BFR-16 Aswan east bank A3 3.0

Aswan Governorate

BFR-17 Aswan new east bank B4 3.5

Nile River

Sub-total 26.4BFL-01 Aswan High Dam Port A2 0.7BFL-02 Landing pier* to the island** C4 0.1BFL-03 Dakka/El Sebua C3 0.1BFL-04 Amada/El Derr Penut C3 0.1BFL-05 Qasr Ibrim C3 0.1BFL-06 North Kohr Toushka A4 0.5BFL-07 North Abu Simbel A4 0.4

Aswan Governorate

BFL-08 Abu Simbel B2 0.1

Lake Nasser

Sub-total 2.1Total 28.5

Note: Classification is referred to Table 2.14Source: JICA Study Team

(3) General planning conditions and improvement guidelines

General planning conditions and guidelines for the improvement plan are described hereafter. Itis necessary to give careful consideration to the natural and physical conditions of berthing sites,which are composed of several facilities including embankment, utilities and visitor facilit ies,when they are improved or developed. The following are indicated as planning conditions orguidelines for the improvement plan.

Berthing slotsIn order to address traffic congestion of ships and to secure their safety and efficiency, berthingslot should have appropriate length and intervals between ships, taking account of river currentand number of slots. The desirable dimension of berthing slot is indicated as follows: for berthswith over 4 slots, the length of slot should be 1.5 times the length of ship, with single parallelberthing.


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Figure 2.8 Berthing Slot Dimensions for Cruise Ship


Landing pier type berth facilitiesBerth facilities of the landing pier type with iron structure has to take into account the mitigationof environmental impact and depth of water required to float a ship (draft). This type can be builtat the embankment area in order to sustain a natural landscape. It is difficult to build a hardembankment surface due to the physical condition of the Nile River. The proposed dimensionsthat should be elaborated in further engineering study can be illustrated as follows.

Figure 2.9 Proposed Dimensions of Landing Pier Type Berth facilities


Utilities of berth facilitiesBerth facilities should be equipped with utilities such as electricity, water, and fuel, for use ofships and to control emission of pollutants from ships, considering mitigation of environmentalpollution to the Nile River. The environmental functions of these utilities are as follows:

• To prevent periodic contamination of drinking water of ships;• To minimize emission from diesel engines by the ready supply of electricity needed by

ships in berth;• To prevent ships from discharging sewerage and wastewater, such as high concentration

detergents, into the Nile River or Lake Nasser;• To prevent ships from discharging solid waste by providing a disposal system in the berth

facilities; and

river current

ship L=70.0m

L= 1.2 -- 1.5 L

L= 0.5 L

L= 0.5 L

berthing location

river current

ship L=70.0m

L= 0.7 L

landing pierapproach bridge

ship L=70.0m

landing pier

natural embankment

appropriate interval appropriate interval

Cruisingship

Section

landing pier


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• To prevent oil and fuel spills by providing a disposal system in the berth facilities.

Within a framework principle that utility services in the berthing site play an intermediary rolein management until they are connected to public service, in case of “Development Types A andB,” utilities can have adequate scale and capacity as a relay station according to each sitecondition.

On the other hand, beyond berth facilities areas, there would be a need to provide a network orsystem to connect utilities to sites so that waste could be discharged from ships. For utilities outof berth facilities area, three cases would be possible alternatives in consideration of thecircumstance in each site. Refer to “Nile Cruise Environmental Management Program”.

Visitor facilitiesVisitor facilities aim at serving tourists or visitors who use not only cruise ships but also tourbuses or other modes of transportation. These facilities also provide information on attractions,tickets and rest places to visitors enjoying recreational activities such as “Felucca” orrecreational boats. In order to meet these needs, the necessary components for visitor facilitiescan be formulated, and following the basic considerations below:

• To organize and manage various visitor traffic , including those of cruise ships, shuttletransportation to historic sites, excursion buses and others, by separation of each traffic flowor by time control, adequate parking measures, etc.;

• To provide adequate information facilities for visitors in order to guide them in the sites andthe surrounding attractions, including ticketing service for other facilities such asrecreational boats and coaches;

• To improve refreshment facilities, such as restaurants and tea shops, or provide them insuitable places for visitors, especially land excursion tourists, in consideration of existingcondition;

• To provide or improve souvenir shops;• To establish design codes or guidelines taking into account harmoniz ing landscape with

surroundings, especially antiquity sites;• To provide tenant spaces for above facilities in which local industries can participate;• To create a comfortable environment with shade-trees and suitable alcoves to serve as rest

places on the Nile River waterfront; and• To provide security system with tourist police and other emergency aids.

2.5 Project Cost Estimate and Implementation

2.5.1 Project Cost Estimate

(1) Assumptions

The following assumptions have been made for cost estimation:

• Project cost is estimated based on market prices in November 1999 and inflation is not takeninto account for cost and revenue estimate.

• Cost components consist of Direct Construction, Design and Supervision, OverheadsProfits, excluding land acquisition costs and taxes.

• Foreign exchange rate as of the end of November 1999 is used during the whole project lifeas follows:

US$ 1.00 = LE 3.40, LE 1.00 = Japanese Yen 30.00• Target year is 2012 and the project is designed to meet the demand in 2012.

(2) Project cost

The investment cost of the project includes the development costs for the facilities as shown inTable 2.17. Project cost amounts to LE 1,354 million, excluding the costs for contingency, land


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acquisition, all taxes and commercial facilities such as restaurants and souvenir shops. Totalcost of the project as a package of sub-projects amounts to LE 1,354 million. This total cost isdivided according to the time frame for project implementation (urgent action, short term andmedium term), considering the scale, effect and other development program. Table 2.18hereafter in detail.

- Urgent-action project cost : 70 　million LE ( 5%)- Short-term project cost : 678 　million LE (50%)- Medium-term project cost : 606 　million LE (45%) Total project cost : 1,354 　million LE (100%)

Note: Urgent Action projects are to be implemented within 2 years.Short-term projects are to be implemented within 3 - 7 years.Medium-term projects are to be implemented within 8 - 12 years.

Table 2.17 Facilities required for Investment

Category Type of Facilities Facilities included inproject cost

Site sign and information ○

Public toilet and rest place ○

Ticket booth/security booth ○Tourist facilities

Restaurant/coffee shopSouvenir shopVisitor parking ○

Pedestrian improvement ○

Wharf embankment ○

Utility facilities ○Berthing facilitiesRiver dredging* ○


2.5.2 Project Implementation

(1) Implementation Schedule

The implementation schedule of the sub-projects depends on its nature and scale, readiness forimplementation, etc. Table 2.19 shows a tentative schedule for the sub-projects.


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(2) Implementation Agency

Major concerns for the implementation of this project are as follows:

• To coordinate the whole development area (Nile River and Lake Nasser) spanning the threegovernorates of Qena, Luxor City, Aswan;

• To implement the project smoothly by several agencies related to tourism development andwater use with environmental consideration, from the central governments and agencies tothe local level due to the wide range of character of this project; and

• To take into account the possible participation of the private sector according to its role andfunction on this project, from project implementation to operation.

Role of government and full integration and co-ordinationIn order to implement the project smoothly and efficiently as an integrated cruise tourismfacilities improvement in Upper Nile, it is recommended to formulate an organizational systemin which several agencies will take charge of management of several activities on the utilizationand cruise tourism development of the Nile River and Lake Nasser.

A suggested system comprising different agencies for the integrated cruise tourism facilitiesimprovement is shown in Figure 2.12. Also, major matters to be coordinated by each agency areindicated in Table 2.20.

The projects would require initial investment from the public sector. The main functions of theproject unit are summarized as follows:

• Coordinate line agencies and different levels of government involved in implementing theproject;

• Monitor its progress; and• Provide technical and financial assistance.The proposed organization illustrated above should discuss the different issues of the projectconcerned and to take necessary actions for effective implementation of the project.

Figure 2.10 Organization of Coordinating Agencies for Integrated Cruise Tourism Facilities Improvement


Regional Council for Upper Nile

Cruising Improvement

Water Transport

EmvironmentalManagement

- EEAA- Local Governorate

-Ministry of Transportation

& Telecom. -Ministry of Interior

-Ministry of Tourism/TDA

-Ministry ofPublic Works &

Water Resources-Local Governorate

Facilities Improvement

ExecutionBodies for

the Projects

Facilities Operation

andMaintenance

Bodies

Project Coordination Project Implementation

Public andPrivate Organizations

Public andPrivate Organizations


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Table 2.20 Delineation of Responsibility of Coordinating Agencies for Integrated Cruise Tourism FacilitiesImprovement

Ministry and AgencyImprovement activities

MOT/TDA MOTR MOPW

WR MOALR SCA MOI EEAA LocalGov

Navigational control system - ● - - - - - ○

River dredging ○ ○ ● - - - ○ ○WaterTransport

Cruising operation system ● ○ - - - - -Berthing embankment facilities ● ○ ● ○ ○ - ○ ○

Utilities support system ○ - ○ - - - - ●

Tourist service facilities ● - - ○ ○ - - ●

Improvementofberth facilities

Security system (fire and crimes) ○ - - - - ● - ○

Environmental equipment for ships ● ● - - - - ○ -Sustainable improvement of river banks ● - ○ ○ - - ● -

Facilitiesenvironmentalmanagement Design control for improvement ● - - - ○ - ○ -Note: ● = major responsibility, ○ = cooperation or coordination

MOTR = Ministry of Transportation, MOPWWR = Ministry of Public Works and Water Resources, MOALR = Ministry of Agricultureand Land Reclamation, SCA = Supreme Council of Antiquity, EEAA = Egyptian Environmental Affairs Agency


Private-sector participation for Upper Nile cruise improvementIt should be considered that adequate implementation bodies would depend on the character oflocation to be developed, whether urban, rural or remote area in front of historical areas, andalso on the character of project in terms of capability of private or public support. Theimprovement project can be classified by each type of berth facilities, as follows:

According to the type of berth facilities mentioned previously, development character can beclassified as follows:

Type A: This type of large-scale development or improvement with urban amenities and utilityservices for cruise ships in front of major gateway cities could be suitable for privatesector participation or public-private partnership.

Type B: This type of medium-scale development or improvement with utility services, whichfaces a tourist town or a new resort development area, could have the same possibilitymentioned above.

Type C: This small-scale development or improvement of a tourist sightseeing area would belimited to private sector participation.

This project can be divided into the following components, which are suitable for directimplementation.

• Construction: (berth facilities, amenit ies, utilities)• Maintenance and operation: (same as above category)• Utilities (water supply, sewerage and solid waste, waste oil discharge in cooperation with

public sector)• Supplemental service (laundry service, commodities supply, etc. for cruise ships)

In response to above character of the project, suggested implementing bodies of berth facilitiesdevelopment are shown in Table 2.21.


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Table 2.21 Suggested Implementing Bodies by Berth facilities Development Type

Berth facilitiesdevelopment type

Developmentand construction

Maintenance/operation Utilities support Hotel operation

supportType A (Major station) Private + Public Private sector Private sector Private sectorType B (Sub-station) Private + Public Private sector Private sector Private sector

Type C (One-stop pier) Public sector Private(consignment) - -


2.6 Financial and Economic Evaluation

2.6.1 Financial Evaluation

(1) Assumptions

Financial viability of the project is examined under some assumptions as follows:

Project packageTwenty-five proposed projects are grouped into 10 project packages based on the location ofberths as shown in Table 2.22. Financial viability is individually examined for the 10 packages.The existing berth of the east bank of Luxor is not included in the packages, because noadditional development is proposed in the project.

Table 2.22 Ten Project Packages

ProjectGovernorate Projectpackage Location

CodeBFR-01 Existing improvement-Qena CityQena

Governorate1 Qena-Dendera

BFR-02 Expansion-Qena CityBFR-03 New dev elopment- west bank/El ToadLuxor

City2 El Toad/Luxor

BFR-04 New development- El ToadBFR-05 Existing improvement-Esna CityQena

Governorate 3 Esna CityBFR-06 Expansion-Esna City

4 El Kab BFR-07 New development-El-KabBFR-08 Existing improvement-Eduf CityBFR-09 Expansion-west bank Eduf City5 Eduf CityBFR-10 New development-east bankEduf City

6 Gebel el Silsila BFR-11 New development-Gebel el SilsilaBFR-12 Existing improvement-Kom OmboBFR-13 Expansion-east bank Kom Ombo7 Kom OmboBFR-14 New development-east bank Kom Ombo

8 Aswan New City BFR-15 New development-Aswan New CityBFR-16 Existing improvement-Aswan City

Aswan Governorate(Nile River)

9 Aswan CityBFR-17 New development-east bank AswanBFL-01 Existing improvement-High Dam PortBFL-02 New development-Pier for KalabshaBFL-03 New development-Dakka/WadiBFL-04 New development-AmadaBFL-05 New development-Qasr IbrimBFL-06 New development-North Kohr ToushkaBFL-07 New development-North Abu Simbel

Aswan Governorate(Lake Nasser) 10 Lake Nasser

BFL-08 Existing improvement-Abu SimbelSource: JICA Study Team


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Construction cost by project packageTable 2.23 shows the development cost by development term and the share of civil works costand utility development cost. Total development cost is estimated at LE 1,354 million, of whichLE 70 million, LE 678 million and LE 606 million are for urgent action, short-term developmentand medium-term development, respectively. Cost for civil works shares 89 % of the totaldevelopment cost.

Table 2.23 Initial Development Cost by Development Term(Unit: LE million)

Development costshareProject package Site area

(ha)Urgent

(2001-2002)Short term

(2003-2007)Medium term(2008-2012) Total cost

Share intotal cost

Civil work Utilities1 Qena-Dendera 6.3 15 52 0 67 5% 55% 45%2 El Toad/Luxor 7.8 11 148 137 296 22% 93% 7%3 Esna City 6.3 8 15 60 83 6% 87% 13%4 El Kab 1.6 0 0 18 18 1% 100%5 Eduf City 11.6 7 128 44 179 13% 90% 10%6 Gebel el Silsila 1.6 0 0 18 18 1% 100%7 Kom Ombo 6.6 8 34 57 99 7% 89% 11%8 Aswan New City 10.0 0 144 152 296 22% 93% 7%9 Aswan City 16.9 14 113 120 247 18% 87% 13%

Sub-total 80.6 63 634 606 1,303 96% 89% 11%10 Lake Nasser 3.0 7 44 0 51 4% 95% 5%Ground total 83.6 70 678 606 1,354 100% 89% 11%Source: JICA Study Team

Implementing bodyThe institutional arrangements for the implementation of the project have variously beenproposed in the previous section. In order to identify the financial viability of each projectpackage, however, it is assumed that an Integrated Company will implement each projectpackage in the evaluation. And the financial performances of 10 Companies are examined.

RevenueRevenue sources of the project for the Company are assumed to consist of (1) berthing chargesof cruise ships, (2) utility charges to cruise ships, (3) berth rents of leisure boats, (4) developedland rents for shops and restaurants, and (5) parking charges of vehicles.

Demand (number of night-stay and stopover of cruise ships, number of visitors from river andland, and number of vehicles) is estimated by project package based on the developmentframework as shown in Table 2.24. After 2012 it is assumed that the demand will be constantfor the financial evaluation.

The rates of the charges of revenues are assumed as shown in Table 2.25. It is assumed that theCompany will not own and operate shops and restaurants but develop the land and lease it to theprivate sector. Meanwhile, parking is assumed as operated by the Company.


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Table 2.24 Number of Berthing Ships, Visitors and Vehicles per Day in 2012

No. of berthing ships per day No. of visitors per dayProject packageNight stay 1) Excursion 2) By ship 3) By vehicle 4)

No. of vehicles perday

1 Qena-Dendera 20 (22) 31 2,970 1,300 1202 El Toad/Luxor 25 (28) 39 3,780 190 203 Esna City 20 (22) 31 3,105 1,300 1204 El Kab 5 (6) 8 540 930 905 Eduf City 37 (41) 57 5,805 1,860 1706 Gebel el Silsila 5 (6) 8 540 370 307 Kom Ombo 21 (23) 32 3,240 1,860 1708 Aswan New City 32 (36) 50 4,860 190 209 Aswan City 54 (60) 84 8,100 1,860 170

10 Lake Nasser 9 (12) 17 1,620 830 80Total 228 (256) 357 34,560 10,690 990Note: 1) Figures in parentheses include the number of ships in-transit (refer to Table 2.12)

2) Cruise ship will stop at two berths per day excluding the berth for night stay and operating ratio is estimated at 70%.3) Cruise ship passenger: Room occupancy rate is 60% and average number of passengers is 1.5 person per room4) Number of visitors by vehicle is estimated based on the framework of the Upper Egypt Tourism Development


Table 2.25 Assumptions on Revenue Sources and Rates of Charge

Revenue source Rate of charge1. Berthing charge LE 700 per ship per night of stay

LE 400 per ship per stop for sightseeing excursion 1)

2. Utility service for sewerage and waste disposal LE 10 per room of cruise ship per day 2)

3. Berth rents of leisure boats LE 20 per ship per day4. Land rents to shops and restaurants LE 5 per m2 per month5. Parking charge of vehicles LE 5 per vehicleSource: JICA Study Team

Operation and maintenance costsOperation and maintenance cost of the project for the Company consists of (a) land rent (b)operation and maintenance cost of utilit ies and disposal cost of wastes of the utility services and(c) operation and maintenance cost berth and public areas. Based on the available information,expenditure is assumed as shown in Table 2.26.

Table 2.26 Assumptions on Operation and Maintenance Costs

O & M costs Rate of expenses1. Land rent LE 3 per m2 per year

2. O & M costs for facilities including payment for thecharges for sewerage and waste disposal

3% of construction cost of facility per yearHalf of utility services revenue is estimated to be spent asdisposal costs of sewerage and waste

3. O & M costs for berth and public areas 1 - 4% of construction cost s estimated depend on kind ofdevelopment type


Evaluation periodAverage life period of the facility is assumed to be 25 years. Therefore, financial pre-feasibilityis examined over the period until 2032. As results of the project implementation, some projectpackages expect revenue from 2007 during the short-term period and others from 2012 duringthe medium-term period. The year when the Company will start to receive revenue is assumedas shown in Table 2.27 based on the implementation schedule.


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Table 2.27 Year of Starting Operation of Facility

Revenue

Project package Berthing chargefor cruise ships

Utility servicecharge

Berthing chargefor leisure boat

Land rents forshops &

restaurants

Parking chargefor vehicles

1 Qena-Dendera 2007 2007 2007 2007 20072 El Toad/Luxor 2007 2007 2012 2012 20073 Esna City 2007 2007 2007 2007 20074 El Kab 2012 No service No service 2012 20125 Eduf City 2007 2007 2007 2007 20076 Gebel el Silsila 2012 No service No service 2012 20127 Kom Ombo 2007 2007 2007 2007 20078 Aswan New City 2007 2007 2012 2012 20079 Aswan City 2007 2007 2007 2007 2007

10 Lake Nasser 2007 2007 2007 2007 2007Source: JICA Study Team

(2) Financial Evaluation

Table 2.28 shows the financial viability in the following indicators:

• Net cash flow over the project period from 2000 to 2032• Net Present Value (discount rate at 8%)• Financial Internal Rate of Return

Cash flows of each project package are prepared from Table 2.29 to Table 2.38 and theintegrated cash flow of the project is also prepared in Table 2.39. Interest payment and inflationare not taken into account in the cash flows.

Table 2.28 FIRR and NPV of the 10 Project Packages

Project package Net cash flow(LE million)

NPV (r=8%)(LE million)

FIRR

Qena-Dendera 183 23 11.9%El Toad/Luxor -72 -138 -Esna City 159 17 11.9%El Kab 30 2 9.9%Eduf 216 -22 6.2%Gebel el Silsila 27 1 9.3%Kom Ombo 130 -2 7.6%Aswan New City 33 -98 0.8%

Nile River

Aswan City 384 19 9.4%Lake Nasser Corridor 62 -10 5.6%

Total 1,151 -209 5.2%Source: JICA Study Team

Financial viability of total developmentAs shown in Table 2.23, total development cost of the project is estimated at LE 1,354 millionover the period from 2001 to 2011. In 2012, when all the projects are scheduled to be completed,total number of cruising ships will be 256. For 256 ships, 11,520 passengers will be expectedper day. In 2012 total revenue of the project is estimated at LE 143 million per year, while totaloperating and maintenance cost is estimated at LE 40 million. Accordingly, annual net cashflow is calculated at LE 103 million in 2012, though the interest payment, inflation and taxes arenot taken into account.

Total development cost, including initial investment cost and operation and maintenance cost, is


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estimated at about LE 2,380 million over the project period until 2032. That is an averagedevelopment cost per cruise ship passenger per day of LE 23.

Net cash flow of the project is estimated to accumulate LE 1,151 million, as shown in Table2.28.Assuming a discount rate at 8%, the Net Present Value (NPV) is a deficit of LE209 million. TheFinancial Internal Rate of Return (FIRR) is estimated at 5.2%, which is low for private sector toinvest.

Financial viability of project packageFIRRs of each 10 packages vary from 0.8% to 11.9 %. It is noted that the FIRR of 10 packagesis not the indicator that shows the order or priority of implementation among them. It indicatesthe magnitude of requirement for public sector’s involvement for financing of the individualproject packages. Namely, for the implementation of the project package, which shows lowFIRR, financial sources with subsidies from the government should be considered. It isimportant for the implementation of the project that every project package will be implementedon the proposed schedule when considering the impact of cruise ships on the Nile environment.

In Qena-Dendera, Esna City and Aswan City packages, the facility improvement and expansionplan are included and no new development is proposed. Therefore profitability of thosepackages are comparatively high. Their FIRRs are 11.9%, 11.9% and 9.4% for Qena-Dendera,Esna City and Aswan City respectively. However they are still low for private sector’sprofitability to implement the project.

El Kab and Gebel el Silsila are located at rural areas and are new berth developments. Thoseproject packages are proposed as a limited development, namely “floating bridge typedevelopment (Type C)”. They will not provide utility services and those services need to beprovided by other berth facilities. Their development scale is small sharing 1% of totaldevelopment cost, as shown in Table 2.23. The FIRR is comparatively high at 9.9% and 9.3% inEl Kab and Gebel el Silsila respectively. However it is a key factor for the financialperformance of these two berths, whether the target number of passenger arrivals will beattained or not. The contribution of the development to local economy will be expected in thearea.

El Toad and Aswan New City packages are new developments located in gateway cities.Therefore, they require huge initial investment costs. Each development cost of El Toad andAswan High City package amounts to 22% of total cost. Their profitability is very low. LuxorCity Development Plan and Aswan New City Development Plan are in progress in those citiesby UNDP and the Ministry of Housing Utilities and Urban Communities. Under thesecircumstances, it will be required that the public sector subsidize a considerable part ofdevelopment cost for these two packages.

External financingExternal financial resources such as soft loan with subsidized conditions should also beconsidered to finance the initial investment cost of the project.

2. pre-feasibility study for the development of …gwweb.jica.go.jp/km/fsubject1101.nsf... ·...

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